SUMMARY

This project has the objective of offering communications services to 3,010 rural or preferred social interest locations, benefiting more than 2,000,000 inhabitants distributed among 23 of the country’s departments, grouped in six regions. The services to be offered are:

Access to high-speed internet in 2,840 locations Public coin telephones in 1,535 locations Residential telephony in 95 locations Shared services and applications Induction of demand

The winning operator must provide connectivity for providing these three services (internet access, public telephony and residential telephony), shared services and undertake induction of demand efforts (dissemination and training). It will also serve as broadband service supplier to those operators established in certain key cities.

SHORT-LISTING REQUIREMENT

To be defined in the process terms and conditions

ADVANTAGES OF THE PROPOSAL

Investment in a stable, dynamic country open to foreign investment A regulatory body with broad proven experience in the sector A transparent, equitable and objective process for granting the concession Development of additional services based on the technological platform constructed.

CHARACTERISTICS OF THE TRANSACTION

Since this deals with the transfer of intangible assets, the mode applicable will be as established in Section a) of Article 2 of Legislative Decree Nº 674

STATE COMMITMENTS

To provide the co-financing required for the project

INVESTOR COMMITMENTS

The supply, operation and maintenance of the telecommunications infrastructure necessary for Internet access. The undertaking of sensitivity, training and dissemination efforts among the population within the project’s scope

THIRD PARTY COMMITMENTS

OSIPTEL and the MTC will be responsible for monitoring and evaluating the project.

FINANCIAL STRUCTURE

The project will have co-financing. The amount of investment estimated for the Rural Broadband project is US $ 17 million, which will be executed by stages.

PROCESS STATUS

The Private investment Promotion Agency (PROINVERSIÓN) executive board agreement was ratified September 13, 2006; it was agreed to incorporate the "N ationwide Implementation of Rural Broadband Service” program into the private investment promotion process. Supreme Resolution N° 083-2006-EF gave the PROINVERSIÓN Title and Projects Committee the responsibility of going forward with the private investment promotion process for the "Nationwide Implementation of Rural Broadband Service” program indicated in the preceding paragraph.

SCHEDULE

PARTICIPATION FEE:

us$ 1,000 (one thousand dollars)